Cabinet approves revised cost for the Asian Development Bank

No: --- Dated: Feb, 28 2019

The Cabinet Committee on Economic Affairs chaired by the Prime Minister has approved the proposal from the Ministry of Development of North Eastern Region(MDoNER) for revised cost of project proposal titled “ADB assisted North Eastern State Roads Investment Programme (NESRIP)”, a centrally sponsored scheme implemented over a period of 5 years at a Revised Cost of Rs.2144.56 crore from the earlier approved cost of Rs. 1353.83 crore for construction/upgradation/ improvement of 433.7 Km long State roads in the North Eastern States of Assam, Manipur, Meghalaya, Mizoram, Sikkim and Tripura along with the extension of project period up to August 2022. ADB is providing a loan assistance of US$ 200 Million in two tranches.

The road survey was conducted by ADB in October 2005 which showed that approximately 70% of roads were in poor condition. The ADB engaged SMEC International PTY Ltd. to prepare DPR which was submitted in 2008. The Scheme, NESRIP was approved by Cabinet Committee on Economic Affairs (CCEA) on 19th May 2011 to be executed within 5 years.

The MDoNER is the Executing Agency and is responsible for overall coordination with ADB and participating States and monitoring the progress of the project.  A Central level steering committee and Internal Project Management Unit (IPMU) within MDONER, and a State level steering committee and Project Implementation Units (PIUs) has been established in each project State. The PIUs in each State has primary responsibility for day-to-day project implementation and coordination of both the road works programme and Institutional Development and Capacity Building (IDCB) initiatives. PIU include staff for project management functions in engineering, procurement, contract management, environmental planning and management, social analysis and management, resettlement planning and implementation, road maintenance, road safety and accounting.  PIU is assisted in the operation by construction supervision consultants.

Taking of this Project to its logical conclusion will lead to the following:

1. Improved road connectivity in the NER, which would be measured in terms of the number of District/Block Headquarters accessible by improved State highways or District Roads
2. Reduced travel time on the Project roads
3. Reduced transport cost along the Project roads, which would be measured in terms of the passenger fares of public transport and freight charges.
4. Provide connectivity to remote areas of North East thus opening new potential avenues of business in horticulture, forest products and tourism.
5. Socioeconomic improvement of the people of the project area in particular and the country as a whole.

An estimated 4.8 million people living adjacent (within 10 km) to the Project Roads will be directly benefitted. Other people will benefit from lower transport costs, faster transit time etc.

List of identified Project Roads (Roads and Bridges Work)

Courtesy – Press Information Bureau, Government of India​​